Beware of These 8 Scams When Buying A Used Car In The UAE

Beware of These 8 Scams When Buying A Used Car In The UAE

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The used or second-hand car can be a great cheaper alternative to leasing and it often works out as significantly less than buying a new car. For sure, purchasing a second-hand car will save you thousands of dirham. However, there are some negatives to purchasing a second-hand car which could leave you out of pocket.

First of all, the car will be older and it could be more at great risk of a breakdown because of wear & tear over the years it has been used. In addition to this, it might have some hidden issues that you may not be able to find out during a few minutes test-drive or an inspection.

Worst of all, there are many scam dealers out there who are willing to do anything to make a deal & such dealers are always in the search for car buyers who get easily convinced.

Here is a list of scams that every car buyer needs to be aware of when buying a used car:

The ‘Pay In Advance’ Scam

Is the car seller asking you to deposit a full amount of the car in advance? If yes, then be careful while dealing with such sellers as there are high chances that you will never see him or the car after the full money reaches him. There are con artists out there who showcase the same car to multiple car buyers and collect money from them and then they disappear. Until & unless you have physically seen the condition of the car and met in person with the car dealer, avoid making advance payments. And even if you do, make sure, you ask him to provide the copy of his Emirates ID as well as proper receipt. By doing this, you can at least get back your money in case of any scam.

The ‘Too-good-to-be-true’ Scam

If the deal is too-good-to-be-true, treat carefully. There are many con artists out there who offer a very low price for a car in order to lure car buyers and then suddenly that car becomes unavailable. After that, such con artists try to sell other cars. When buying a second-hand car, make sure you always compare the benchmark price for that particular car model & make against other listings. Even there are some online websites that offer a ‘right price’ indication that provides you a fair idea of what the car is really worth. However, the price of the car will be depending on the mileage the car has done and also the model year.

The ‘Fake Owner’ Scam

Before finalizing the deal, always ask to meet the car seller in person. Don’t settle the deal over a phone call as there are many con artists out there who have introduced themselves as the car owners on sale and answered questions over the phone call in order to make the deal. Meeting the car owner personally would give you a fair idea of the car, its history, reasons it is being sold as well as the car owner is genuine or not.

The ‘Fake Car Service History’ Scam

One of the most vital things that are often overlooked is the car’s service history. Make sure you always ask for a service history of the car or bills from the last few car services in order to verify the upkeep of the vehicle. Be aware some con artists might show a full fake service history or they will say that service history is not available for that particular car because it was serviced at several places. In such scenarios, ask the car owner where he/she services his/her car & then if possible you can independently take a record from that workshop. By verifying this with the help of the workshop, you can have the idea of the car’s maintenance

The ‘Invalid Warranty’ Scam

A valid warranty will save from unwanted repair pills of the car. But be careful as there is a possibility the warranty has been expired or cancelled. So, before you make the final deal make sure you check with the seller if the warranty can be transferred.

The ‘No Test Drive’ Scam

If you are investing in a second-hand car, it is highly recommended that take a mechanic or trusted friend along with you and take a test drive of the car you wish to purchase. This will help you to do an inspection of the car in a better manner. And even if you are convinced, wait for a moment and let your mechanic or friend also check if everything is in the right condition – engine, odometer, air conditioning, and every spare possible. Finalize the deal only you are fully satisfied with the car.

The ‘Only Cash Payment’ Scam

There is no doubt that making a cash payment for purchasing a car is quite an easier process as it helps to avoid taxes but try to avoid that mode of payment. Instead of that pay for a car using a demand draft as it keeps the record of the payment. In addition to this, it assists in verifying the name of the seller of the car. Please note that it should be the same as the registered owner of the vehicle unless the dealer has some valid reasons for wanting the cash in a different name.

The ‘Paperwork Later Done’ Scam

Be alert never leave any kind of paperwork pending when it comes to buying a second-hand car. There are many cases where a stolen car being sold to another buyer & registration was not even transferred. Therefore, the new car owner might get stuck in a problem with the police. So, always make sure you get a proper receipt for the sale of the car. Also, you have the original car registration certificate and copy of the motor insurance Dubai, UAE with you. Plus, note that car owner signs all the transfer forms, so that car can be registered in your name.

In A Nutshell!

We hope that you now have a better idea of what to keep in mind and what to avoid while buying a used car in the UAE. Make sure you aware of all these scams as they could burn a hole in your pocket.

*The information provided on this website/page is only for information sake. Policybazaar.ae does not in any form or manner endorse the information so provided on the website and strives to provide factual and unbiased information to customers to assist in making informed insurance choices.